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When you buy or sell stock with an online broker when are the trading fees (approx. $7 or $10) deducted from your available balance? Is it when the order is placed? At the end of the month?

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    What country and what broker ... it varies.
    – Dheer
    Dec 23, 2015 at 15:32
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    As @Dheer says, it varies. I think most brokerages deduct any commissions and fees when the order is filled (not placed, an order can be placed and filled months apart), but there are some where a flat monthly fee gives you a certain number of trades, etc.
    – blm
    Dec 23, 2015 at 19:41

2 Answers 2

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Typically the fees are charged when the order is executed.

The only catch I have ever ran into is when an order is partially executed. A good-till-cancel order that gets executed in several blocks over multiple days may get charged a separate commission for each day (but typically not each block).

If this is a simple brokerage account, you could avoid the whole question by using robinhood.com, which charges no commissions or maintenance fees.

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As others have said, it depends on the brokerage firm.

My broker is Scottrade. With Scottrade the commission is assessed and applied the moment the order is filled. If I buy 100 shares of XYZ at $10 a share then Scottrade will immediately deduct $1007.02 out of my account. They add the commission and fees to the buy transaction. On a sale transaction they subtract the commission and fees from the resulting money. So if I sell 100 shares of XYZ at $11 a share I will get 1,092.98 put into my account, which I can use three business days later.

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  • How exactly do they add/subtract to the transaction? Do they give you less shares or for example trade for higher rate?
    – jayarjo
    Jun 12, 2018 at 18:59

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